Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Skellerup expects profit growth of up to 19% on gains in US

Skellerup expects profit growth of up to 19% on gains in US market

By Suze Metherell

Oct. 28 (BusinessDesk) - Skellerup Holdings, the rubber goods firm, expects annual profit to grow as much as 19 percent as its investment in the US market begins to deliver returns.

The Auckland-based firm expects profit of between $24 million and $26 million in the year ending June 30, 2016, up from $21.9 million it reported in August, it said in a statement. The company is holding its annual shareholders' meeting in Auckland today.

Skellerup has focused on growing international markets, with a particular emphasis on the US market, to offset the decline in local sales for Skellerup's agri division, which manufactures and distributes rubber goods and other related agricultural products. A global glut of milk has seen a sharp drop in the price of dairy, New Zealand's largest export commodity, leaving farmers with less cash to spend on updating equipment.

“We have put a lot of effort into prioritising the growth opportunities available to us, and made significant investment in the people and structures we need to make the most of those opportunities," chief executive David Mair said. "That work is now starting to pay off.”

Skellerup shares rose 0.7 percent to $1.46 and have gained 2.1 percent since the start of the year.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Energy Resources Aotearoa: Doubling Of Coal Use Shows Need For Local Natural Gas

New figures showing a near doubling of coal-fired electricity generation highlight New Zealand’s energy shortage and the need for natural gas as a lower carbon alternative, according to Energy Resources Aotearoa... More>>

E Tu: ‘Sense Of Mourning’ As Norske Skog Mill Set To Close

Workers at Norske Skog’s Tasman Mill now know they’ll be losing their jobs in little over a month’s time.
On Wednesday afternoon, workers were told the mill will be stopping production from the end of June... More>>

Stats NZ: Card Spending Sees Strong Growth In May

Seasonally adjusted card spending rose by $189 million (2.3 percent) between April 2021 and May 2021, Stats NZ said today.
Spending rose across all industries for the first time since New Zealand moved to level 1 in June 2020... More>>

Catalist: NZ’s New SME Stock Exchange, Gets Licence To Go Public

New Zealand has a new stock exchange – designed specifically for small and medium-sized businesses (SMEs) to raise up to $20 million a year from the public.
Called Catalist, the exchange has already been successfully working the private investment sector.... More>>

E-Commerce: Over 40% Of Those Engaged In The Bitcoin Community Are Millennials

Bitcoin has emerged to be a popular topic among millennials with digital currency increasingly being viewed as a potential source of creating wealth through investments. The interest in bitcoin by millennials signals the role this age group plays in the possible realization of the digital currency’s mass adoption... More>>

Stats NZ: New Zealand Is Getting Drier

While there is natural variation in precipitation due to seasons and cycles, New Zealand appears to be getting drier, Stats NZ said today... More>>